Living in a highly interconnected digital era, your business data holds utmost importance. Regrettably, it is also profoundly at risk due to the prevalent cyber crimes threatening us from every direction. From phishing scams In relation to data breaches, companies face significant financial losses due to cybersecurity risks, losing thousands of dollars. Furthermore, they also have to spend thousands more on recovery efforts. Cyber criminals are willing to target any aspect of your digital communication, including emails. project management tools and software.
This is where protecting your sensitive data is crucial for ensuring the security of your business. This requires implementing the essential policies, procedures, and safeguards. The importance of having a Written Information Security Plan (WISP) cannot be overstated when it comes to managing security effectively.
What exactly is a WISP, why does it matter, and how does it relate to accounting businesses?
A Written Information Security Plan, or WISP security roadmap. It serves to outline the measures and protocols in place to protect sensitive information within an organization, as well as the individuals responsible for its safeguarding. This document is crucial for establishing and maintaining secure processes, data, and IT management. Its significance has grown, particularly after the IRS introduced it as a necessary requirement. new law By the end of this year, it is mandatory for all businesses involved in accounting or offering tax preparation services to establish and implement a system.
Businesses in over 25 states in the United States are currently mandated to implement a WISP (Written Information Security Program) or a comparable substitute. These states comprise Florida, California, New York, Rhode Island, Massachusetts, and Texas.
In addition, a WISP generally consists of the administrative and technical security measures that your company has established. Anyone or any entity who has access to customer or employee data must make sure to enforce the necessary administrative and technical protections.
It is important to note that everyone who has access to your company’s data should be knowledgeable about your WISP. The purpose of the WISP is to provide all employees with information on how to effectively secure data at the necessary levels.
Why is it Important to Have a WISP?
A Written Information Security Plan (WISP) is extremely important for all types of businesses, particularly accounting firms, healthcare providers, and other organizations that handle confidential customer information. The significance lies in the fact that:
- In some states, it is mandatory to have one. Failing to comply can result in financial losses and public embarrassment that should be avoided.
- With data breaches Nowadays, it is very common for WISPs to serve as a means of protection against legal responsibility.
- Not having a WISP could have negative consequences down the line, as it could be seen as a sign of neglect. Those filing a lawsuit can use lack of WISP compliance as proof that the IT company or business in question failed in their duty, making them liable for a claim related to a data breach. This, in turn, can permanently damage their reputation.
- Creating official protocols for safeguarding Personal Identifiable Information (PII) and other important data is beneficial practice for businesses. By having well-documented procedures, companies can mitigate compliance and legal risks, therefore reducing the potential damage resulting from a data breach if it were to happen.
What does a WISP Cover?
The security controls covered by WISPs can differ greatly. The extent and thoroughness of your WISP will be determined by factors such as the size of your company, the range of your operations, the industry you are in, and the state laws you need to adhere to.
WISP, or Written Information Security Program, is essential for the majority of businesses as it guarantees that your company has adequate measures in place to safeguard personally identifiable information (PII) through administrative, technical, and physical means.
What should be comprised within a Written Information Security Plan?
WISPs need to address the following security areas :
- Choosing the individual responsible for overseeing the security program
- Finding and assessing potential threats to safety and protection.
- Developing guidelines and protocols regarding the safekeeping, availability, and transfer of individuals’ personal information.
- Imposing sanctions for WISP infractions
- Limiting the entry of employees who have been terminated
- Observing the security measures carried out by both contractors and third-party providers
- Restricting the physical and digital record access allowed to contractors and third-party providers.
- Assessing the range and efficacy of the WISP (Written Information Security Plan)
- Recording instances of data breaches and the subsequent actions taken in response.
In addition, it may be necessary for WISPs to fulfill the following conditions. technical specifications :
- Safeguarding the user’s login details.
- Restricting the availability of Personally Identifiable Information (PII) only to individuals who require this knowledge.
- Securing sensitive and personal data by implementing encryption for its transmission and preservation
- Monitoring security systems
- Installing the latest versions of all software, including firewalls and security patches.
- Educating staff members on the security protocols of your organization and the appropriate engagement with computer security systems.
Lastly, it may also be necessary for WISPs to possess the following. physical safeguards :
- Developing protocols for securely storing and safeguarding physical data.
- Establishing regulations for the relocation or replication of physical data
- Restricting entry to physical copies of records in storage.
- Making sure that all doors and filing cabinets are secured and closed.
- Improving the hardware used for physical security, such as surveillance cameras and access cards, by incorporating the latest technology.
Have a Plan in Place
Having a written information security policy (WISP) is not only a legal obligation but also reduces the chance of a data breach occurring. Additionally, it enables quick response and intervention in case of an emergency situation.
Having a comprehensive and meticulous WISP will decrease the chances of encountering issues during a cyber security crisis. It is important to consistently evaluate and enhance your WISP. Even if your security program is solely based on theoretical documentation, it is still preferable to not having any program in place.
If you are looking to secure your business with a robust Written Information Security Plan? Look no further! AvantGuard is here to provide tailored assistance. Our proven procedures and customizable models are designed to deliver on our promises, safeguarding your business and ensuring its continued success. Get in touch with us now and take the first step towards a more secure future for your company.
